the share of the outsourced workforce is not too large, this wage-moderation effect on domestic employment outweighs the … direct substitution effect so that domestic employment increases in unionized firms as outsourcing costs fall. This does not … for employment. However, except for low outsourcing activities, the impact of these policy measures will become smaller as …

We study the impact of tax policy on wage negotiations, workers' effort, employment, output and welfare when workers … literature that a revenue-neutral increase in the degree of tax progression is good for employment does not carry over to the … increases employment and output, we cannot rule out negative effects from an increase in tax progression when tax progression is …

symmetric marginal employment subsidies where firms are rewarded when they increase employment but punished when they reduce … their workforce, we consider an asymmetric scheme that only rewards employment expansion. This changes the incidence … employment and welfare. For moderate subsidy rates, all unions prefer to restrain their wage claims. At sufficiently high subsidy …

affects employment, wage inequality, public expenditures, and aggregate income in the low-wage sector. It is shown that a … employment depending on the subsidies' incidence and income effects. Wage subsidies also allow a more equal income distribution …

in Germany, on employment, wage inequality, public expenditures, and incomes of poor households: 1) a statutory minimum … subsidies, the government can ensure more favorable employment and income effects. Combining a minimum wage with a wage subsidy …

In this paper, we attempt to renew the interest in marginal employment subsidies. Such subsidies are paid only for a … firm's additional employment exceeding some reference level and create larger employment stimuli at lower fiscal costs than … marginal subsidization), the replacement of regular paid workers by outsourcing employment to newly established firms - a …